Tellurian selling shares to fund Driftwood LNG pipeline
The Houston-based LNG export project developer Tellurian intends to offer 12 million shares in an effort to fund the pipeline development and secure working capital.
The company expects to rake in $118.8 million before underwriters’ compensation and estimated expenses, the statement reads.
The company has granted the underwriters a 30-day option to purchase up to 1,800,000 additional shares of common stock of the company to cover over-allotments, if any.
Tellurian intends to use the net proceeds from this offering for general corporate purposes, including pipeline development and working capital. The offering is expected to close on or about June 21, 2018.
Tellurian plans to build a natural gas business that includes the development of Driftwood LNG, an approximately 27.6 mtpa LNG export facility, and an associated pipeline.
The company intends to start the construction of the facility in 2019 and produce first LNG in 2023.